Maxis maintains strong momentum with Q2 net profit of RM330mil

KUALA LUMPUR: Announcing a healthy result in the second quarter of the financial year, Maxis Bhd CEO Goh Seow Eng believes the telco is on track for stable growth in a competitive landscape.

“With a focus on fixed-mobile convergence and ambition to grow market share, Maxis continued to see encouraging growth across its consumer and enterprise businesses,” he said in a statement.

For the quarter ended June 30, 2023, Maxis posted a net profit of RM330mil for an earnings per share of 4.2 sen, which was an improvement from RM322mil in the previous corresponding quarter.

The telco’s performance was boosted by the discontinuation of the Prosperity Tax in 2023, which offset higher amortisation costs from the spectrum awarded in 2022.

Earnings before interest, tax, depreciation and amortisation (Ebitda) was 1% lower at RM1bil due to the higher amortisation costs.

The telco reported a higher revenue of RM2.47bil as compared to RM2.42bil.

During the quarter, Maxis said it invested a capex of RM166mil to maintain network quality and better serve its customers.

Over a six months period to June 30, 2023, Maxis’ bottomline was RM650mil on revenue of RM5bil as compared to net profit of RM611mil and revenue of RM4.83bil in the same period in 2022.

In line with the performance, the group declared an interim dividend of four sen per share for a year-to-date payout of eight sen per share.

On a segmental basis, Maxis’ postpaid revenue in 2Q was up on subscriptions growth of 6.3% to 3.4 million. Revenue jumped 7.5% year-on-year (y-o-y) to RM871mil.

The home connectivity business saw another quarter of double-digit growth with total connections crossing the 700,000 mark. Segment revenue grew 9.6% year-on-year (y-o-y) to RM229mil

The enterprise business excluding wholesale voice meanwhile continued its upward momentum to deliver revenue growth of 3.4% y-o-y to RM362mil.